The Bank’s decision not to announce more stimulus at the end-April meeting will only make it more difficult to reach its 2%-inflation target, as any support from a weaker yen and rising import prices will be less pronounced. With economic activity sluggish and mounting risks of a decline in inflation expectations, we still think that more stimulus will be needed sooner rather than later.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.